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Ear to the Ground - Season 33 Episode 4

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00:00in Elfin Mart to find out why record cattle prices are good for some farmers
00:05but not for all. Stephen will be meeting a family investing in apples at a scale
00:11not seen before in Ireland. The growers that have been there before it's served
00:15them well but time for change. And Ella is in cabin with a young woman determined
00:20to make her small farm work. I want to keep it small and I want to make sure
00:25that everything is sustainable in terms of just maintaining my own health, too.
00:49The average Irish person chomps their way through about 120 apples per year and we
00:55live in a near perfect climate for growing them. So far, so good, right? Well, unfortunately
01:02not. Over 90% of the apples which we eat here in Ireland are imported.
01:08But one family owned business wants to change that. The McCanns come from Armagh where they
01:14are long established. In 2021 they embarked on a massive expansion. They planted the largest
01:25eating apple orchard in Ireland, here in Tully Island, in the Boyne Valley, growing two of
01:30the most popular imported varieties, Galla and Golden Delicious. Kevin McCann is commercial
01:37director with the company. Tell me, why did you start growing them? Traditionally we were
01:43known Bramley apples, John of Grey, John of Gold, L-Stars. Great varieties but they're not what
01:48the Irish consumers desire. We looked at a lot of information in the marketplace and where
01:53we were going and we seen that the key to what the consumers want is Galla. We sourced the
01:59trees, got the land. I suppose in a wing and a prayer we got stuck in and thank God it's
02:03came to fruition now. There is a total of 130 acres of fruit planted here. Mostly apple trees but
02:12also some pear varieties. There's no point us planting a handful of acres here. We had to go out
02:18and plant large scale to be able to go to the retailers and say look we have x amount of volume
02:22here. This is what we're going to be growing. Import substitutes so the trucks aren't coming in
02:27from other European countries or further afield even the likes of New Zealand, Chile, South Africa
02:31because it's an environmentally friendly crop. How did you end up here though in the Boyne
02:36Valley? This actual area here in the Boyne Valley, when we purchased it it was actually
02:41described as a little heaven on a morning like this. Yeah I could see why. There's a microclimate
02:48here, the site's south facing, we're getting the maximum sun hours that we possibly can which
02:53is very very important to apples. We actually have the Maddock River flows through the site and
02:58that then flows on into the Boyne. With the water we're actually getting frost protection
03:03as well. With imported varieties dominating the market here, the McCanns felt it was a
03:08case of if you can't beat them, join them. But taking on these global varieties has required
03:15a multi-million euro investment. To be honest, that was a massive gambling for us as a family.
03:21Call it nerves, call it ambition, we were confident and it's had its ups and downs and its challenges
03:27but when you see a crop on these trees like it is today, confidence is pouring out of us
03:32now to keep going at it. This orchard will produce roughly 2,000 tons of apples. It's achieved by
03:39planting at a very high density. The young trees are supported on a trellis system allowing them
03:45to bear heavy fruit loads. Kevin's father Oliver has been in this business since his father Patsy
03:53set it up in 1968. Back then things were done very differently.
03:58The orchards being planted in them days was 250, 300 trees to the acre. It would take quite a bit of
04:06time for them trees to mature and to fill in the gaps. As a rule of thumb when you're growing wood
04:12you're not growing wood, you're not growing fruit. So on today's plantations you plant trees touching each
04:19other. Trees love companionship and the roots touch the roots of the trees beside it. Automatically
04:26you get fruits straight away. This is the future of orchard growing in Ireland. It is costly to get into.
04:34We have 1,300 trees per acre. A tree could cost you 10 euro. It's not hard to do the sums.
04:44Despite such costs, the McCanns felt that it was the only way they could provide a strong future for
04:50the business. Our own business was under pressure from the point of view of imports and things coming
04:56into the country. I said this time we're going to have to buy a farm planted because if we don't,
05:02what have we been doing all these years? Once harvested, the apples are brought to Armas City
05:09where the McCanns have their processing plant. To handle the increased volume created by the
05:15Boyne Valley site, the company has had to significantly upgrade the facility.
05:21Bins are loaded in by the operative. Through the in-feed tank we remove any defected product that's not
05:26suitable for grading and packing. Travels up through this six day in pre-sizing system,
05:31where there's literally 30 images of every single apple is taken. So that's a hell of a speed.
05:36I can see the flashes so I can.
05:42The apples are sorted and cameras inspect the fruit for things like discoloration.
05:47A sophisticated measuring system is used to identify the sugar content, ripeness and any internal defects.
05:54As well as washing the apples, water is a gentle way of moving them through the system, preventing any bruising.
06:04Oliver McCann Jr. is head of operations.
06:07Do you have enough apples to keep this going all year round?
06:10No. Our Irish season will last to March and then we work on imported fruit from there through to the new season starts again.
06:18So we need to get enough trees in the ground to last the season 12 months of the year.
06:23The apples are only sorted and graded as orders come in from retailers.
06:27In the meantime, vast quantities are stored here for up to a year.
06:32So what are we looking at here?
06:34We're looking at about 300 tonne of gall apples that are picked up from Tully Island.
06:40The last few days they've went in. Now that store is completely sealed so we actually can't go inside.
06:43The product is in there, that's now in hibernation, safe, locked down, temperature controlled.
06:47When you say low oxygen, what do you mean?
06:50Ultra low oxygen. The air we're breathing is 21% oxygen. Inside that room is 1% oxygen.
06:56Wow. So literally we're just giving them a lifeline to keep going.
06:59If we keep the correct atmosphere and the correct storage systems, we'll have product for as long as possible.
07:07The McCann's are currently looking at a number of other sites around the country to plant more orchards.
07:14And they believe that there is potential for other growers to adopt this model of production.
07:20We're in our fifth year now of growing. We're over the moon with production and
07:24hopefully we'll keep it, keep it like that going forward. We should be able to get our numbers up.
07:28We would love to see new entrants coming into the business as well because there is a massive, massive scope.
07:34The growers that have been there before, it's served them well, but time for change.
07:39Yeah, it's a big, big investment. It's 50 years to build it and five minutes to lose it in our heads.
07:45But we have to grow this business further and the fire is in our belly to do that.
07:54That's it for part one. Coming up after the break, a young farmer leading by example in County Cavan.
08:00I have found that the next generation is so intrigued and they're always reaching out on social media.
08:08And I'll be finding out why these guys are so valuable.
08:21Irish consumers don't need to be told that food prices are continuing to rise here.
08:26The cost of beef is no exception. In the year to the end of October, sirloin steak saw a price hike of almost 23%.
08:37At least part of this can be traced back to what's been happening at livestock marts across the country.
08:43The massive increase in beef prices over the last year has caught many by surprise.
08:48In fact, it's lasted so long that many are beginning to wonder if this isn't just a spike rather than a long overdue reset.
08:55Which is great for the farmers selling, but challenging for every other link in the chain.
09:01It's a wet morning here at Elfin Mart in County Roscommon.
09:05And we're coming to the end of what's been a bumper season for farmers and auctioneers alike.
09:10Jerry Conlon and his son Donal from Kilcock in County Mead are here today to sell six weanlings.
09:18If everything goes well, these animals will fetch anywhere between 2,000 and 2,500 euros each.
09:27What could you have reasonably expected last year?
09:30Oh, it's phenomenal. I think last year we were 1,200, so definitely a lot healthier this year, 100%.
09:37Amazing turnaround in the trade.
09:39It's 20 years too late for me, but maybe not for Don.
09:42Yeah.
09:44Elfin Mart is one of the busiest in the country.
09:48It attracts buyers and sellers from all over and is particularly popular with cattle exporters
09:53because of its large animal holding facilities.
09:57Ciaran Lynch is the Mart manager.
10:00For me this time last year, like, you know, it's just huge money.
10:04It's massive money.
10:04I mean, we're talking millions changing hands here in that ring.
10:09You're talking maybe over a million every day.
10:12That's every day.
10:13This is like the Vegas of Ireland.
10:15It's something like that, Chad.
10:17It is, but look, it's just the game we're in.
10:18It's just the way the job has gone and that's it.
10:21In simple economic terms, this is all about supply and demand.
10:25Ten years ago, the national beef herd here stood at one million animals.
10:30Today, due largely to older farmers leaving the sector and policies around reducing numbers to
10:36meet emissions targets, that figure is closer to 750,000.
10:42Nevin McKiernan is a livestock journalist with the Irish Farmers Journal.
10:47That's left us with a situation now where there's less cattle coming on stream.
10:50You can see them pens getting emptier and emptier year on year.
10:53So that's creating more competition in the market.
10:56The fear is that this is a bubble.
10:59What do you think?
11:00In the short to medium term, no, it's not.
11:03This is not just an Irish thing.
11:04This is across Europe.
11:06Production across Europe is down.
11:08And we're going to see that over the next five to six years.
11:11It's very difficult to see how prices are going to go down.
11:16Demand from the booming live cattle export sector is another factor driving price increases.
11:23Last year, we hit a 20-year high with almost 380,000 animals exported,
11:29mainly to Europe, the Middle East and North Africa.
11:32Roscommon-based Derek Maxwell exports around 25,000 cattle every year.
11:39One of his regular customers is Italian farmer Filippo Caniel,
11:43who buys up to 300 animals every month.
11:48You're the customer for Irish cattle farmers.
11:51Beef price has doubled at the ring here in the last 12 months.
11:56What does that mean for you?
11:58It's not easy for me, this situation.
12:01But my customer, I know the situation in Europe or in the world.
12:06It's very difficult to find the meat for cheap price.
12:09But I need the quality, you know.
12:12We had 20 years with no inflation.
12:14The last 12 months, the last 24 months, you could say, we've seen a big change.
12:19But as far as I can remember, before that cattle were nearly always the same price.
12:23Are we at the peak or can this continue?
12:27Who knows?
12:28I thought we were at the peak last April, last May.
12:32But it seems to keep going and we just have to move with it.
12:36But I don't see it going back to what it was 24 months ago.
12:40So what about those buyers who are purchasing young animals to fatten and then sell onto processors?
12:47Within the sector, profit margins are shrinking as purchase prices at marts continue to rise,
12:53while feed and energy costs are also more expensive.
12:56As part of his business, Donegal farmer Andrew Norris finishes around 400 animals every year.
13:03It's not about what we get for the beef, like at the minute.
13:08It's about what we have left over whenever we have the 400 stores back in again to go next year.
13:13And like, I'm sitting looking at cattle coming nicely there now and they're doing well.
13:17But I'm already worried about how I'm going to replace them because of the way the thing is that the market's like.
13:20For the system that I'm in, there's a lot of costs in that, like for keeping them cattle for a year and everything that goes along with it, like vaccinating and dosing and doing everything that goes along with it.
13:29But it's small margins for the amount of money that's invested.
13:32There's no way that I would be able to be, it's myself and my brother and my cousin that works together here.
13:37And there's no way that the three of us would be able to live off finishing 400 cattle.
13:41It just wouldn't happen, like.
13:42Three years ago, the price paid by factories to finishers like Andrew was five euros a kilo.
13:49Today, it's just short of eight euros.
13:52Being the last link in this chain, the consumer inevitably ends up paying more for their steak and mince.
13:59Conor Loughnan is a lecturer in economics at University College Cork.
14:05I think this is the new norm. I think the era of cheap food is coming to an end.
14:10With the way policy is changing now and we see less supply in the market, it's hard to see how that price will shift back down.
14:18And also when we have these high prices for the farmers and the processors, that has to be collected somewhere so they can't take a loss on that.
14:26So the chances of the price slipping back in the short term are minimal.
14:31I would say prices likely to continue to rise in the foreseeable future.
14:35Who's the real winner here?
14:37It's hard to say because the farmers are getting a better price now for their stock that they're selling.
14:42But they're also having to pay a greater price to replace that stock that's already exited the farm.
14:47So processors have to give more to the farmer, but they're also receiving more.
14:52So it's just basically a shift in the price equilibrium to another price point.
14:59But ultimately, buying and selling cattle is a gamble.
15:03On the day, bad weather meant that livestock boats weren't traveling, meaning less demand from exporters and driving down prices somewhat.
15:11But Gerry and Donald weren't complaining. It's still a big improvement on previous years.
15:20What's the average?
15:20The average price per head is €2,800.
15:25Not a bad result, but a little bit shy of maybe where you were hoping.
15:28Absolutely, but you have to take what you get on the day.
15:32What about you, Donald? What's your take on it?
15:33Yeah, absolutely. No, it's solid enough. You couldn't be complaining about them figures.
15:36Is that the end of the sales for you for this year?
15:38No, I have another sale here this day a week.
15:41Another bite of the cherry.
15:42Another bite.
15:43Just over 4% of farmholders in Ireland are under the age of 35.
15:53One such person is Sophie Bell.
15:55And I've come here to her farm in Cavan to find out how optimistic she feels about her future on the land.
16:0427-year-old Sophie Bell grew up on this farm, but moved to the UK to study agricultural science after school.
16:13She came back with new ideas and a determination to make the farm work for her.
16:20Until three years ago, Sophie's father raised beef cattle here.
16:24But Sophie wanted change, so she now operates a farm where she doesn't own any of the livestock she rears.
16:32When I finished university in 2021, I decided I don't think there's a future for us on this farm
16:39if we don't change the system, so I'm contract rearing dairy heifers for another local dairy farmer.
16:47It allows us to be paid a monthly rate and we know what that is, so it's really helpful for us
16:52because we're a small farm and it's very hard to rely on prices that aren't decided for us if we were in beef or dairy.
16:59So this is like a bed and breakfast, basically, for the cows?
17:03Yeah, essentially, yes. And we're just rearing the next generation in the best way we can for the farmer.
17:11Sophie runs this 56-acre farm in partnership with her father, Henry.
17:16They both have full-time off-farm jobs. Sophie is in the civil service and Henry is a lorry driver.
17:25Their situation is common around Ireland, where 54% of farms are under 60 acres in size
17:33and 42% of farmers have an off-farm income because the land cannot support them full-time.
17:40You're not solely dependent on this farm for your income. Is that some help?
17:44It is a help, yeah, because I can just rely on that wage to sustain my own living.
17:52With the farm, that can be separated and I can use that to invest back into the farm.
17:57So the farm wouldn't be as viable as it is if I was taking a wage from it.
18:03So all the profits from the farm at the moment are going back into the farm to reinvest?
18:07Yes, and I think that's the situation for a lot of farmers. Not many take a living wage from it.
18:12For a lot of farmers, it's just a way of life.
18:17It certainly is a way of life for Sophie. On the weekend, she's up early to milk cows for local farmers.
18:27And when she's not working on the farm, she manages her social media.
18:31It's far removed from the days when Henry worked this land on his own.
18:39Hello, Henry. How are you doing? How are you doing?
18:41All right. You fixing there?
18:44Trying my best, yes. Trying your best, yeah. You look very similar.
18:49That's good.
18:50Has the farm been in your family for long?
18:54It's over 60 years anyway. My mother and my father had it and then my father died and then
19:01my mother had it then and she transferred it over when I was 27.
19:06I wonder how you feel about the future here. You're still a young man yourself.
19:12Thanks. Sophie's sure to continue on and build it up better and make an improvement.
19:21Yeah. You need to be all the time thinking ahead.
19:25And Sophie has that thing that you've never had, which is social media.
19:29Yeah.
19:29And the potential income from social media as well. It's an interesting part of farming,
19:34with young farmers in particular, isn't it?
19:35Yes. That would help too, to increase profits and sustain farming.
19:42Sophie's social media channels generate income for the farm and give her the chance to road test
19:47new products. It's really helped the farm along. We've had GPS on the tractor and we've had
19:55different products such as worm testing kits and various things like that, that we might not
20:01always have been able to consider on the farm. But as a result of that, it's helped bring it along
20:06so much more. Sophie, as a young female farmer, is part of a very small but important cohort
20:14when it comes to the future of farming both here and across Europe. In Ireland, 87% of farmers are men
20:23and the average age is 59 years old. In your area, your local community here of farmers,
20:31what are you seeing with the next generation coming through?
20:33I am seeing a lot of motivation and a lot of young people coming along and introducing some
20:40really fabulous ideas on farm and in terms of business as well. But I am seeing also a lot of
20:46people moving away because it's just so difficult. But I have found that the next generation is so
20:54intrigued and they're always reaching out on social media as well, especially a lot of young farmers,
21:01especially women. And I went back to my old school where I spoke to the fifth class. It's a very small
21:08school and there was 10 young girls who were wanting to pursue a career in agriculture, which is great to see.
21:14Until five years ago, Sophie's mother, Stephanie, did a lot of the farm work here, until Sophie took on more responsibility.
21:22It's great that she's taken on my role there because he would probably listen to her an awful lot more than he ever listened to me.
21:30So I know it doesn't happen everywhere. So, I mean, it is, it's sort of like with great pride that she is able to handle the farm and just keep everything so much under control.
21:42Do you think that's true? Do you have control of your father?
21:45Yes. Most of the time.
21:49You're getting there. You're getting there. Yeah.
21:51Yeah. It's been really important, clearly, that she's in partnership with her father.
21:56Yeah. So there is that clear path.
21:58Yeah. Because I think on an awful lot of farms, you can just be working.
22:03Working and waiting.
22:04Working and waiting and waiting and waiting and waiting. And then there's still sort of that doubt whether you're just waiting in vain.
22:11So I think it's great to be clear on what actually is happening.
22:16Sophie's made some significant decisions in order to keep this farm viable.
22:21But she's also conscious of ensuring that she herself can continue to farm long into the future.
22:28I would love to just keep the farm as it is. I don't want to be farming hundreds of animals and pushing myself to that limit.
22:37I want to keep it small and I want to make sure that everything's sustainable in terms of social life, in terms of labour and, you know, just maintaining my own health, too.
22:48I think that's always something I want to play part of this whole journey.
22:53So fingers crossed that remains an option.
22:58That's it for this week. Next week on Ear to the Ground, Stephen brings us a reminder of last week.
23:06A reminder of last summer on a glorious day for harvesting.
23:09This year has kind of been perfect for us to get, you know, decent crops. Like we had rain when we needed it and we got sunshine when we needed it as well.
23:15Ella is on the trail of one of Ireland's most deadly invasive species.
23:20Lurg. Mink.
23:22So you just have to go quite a pace to keep up with them.
23:25And I'll be meeting a Wicklow alpaca farmer.
23:28I don't have a farming background, really. So this is still a steep learning curve.
23:32You know, I'm trying to see how do I make the farm work and earn its keep.
23:36Good girl! Oh!
23:38Don't forget this programme will be repeated on Sunday at lunchtime after the farming weather.
23:44You can contact us on Facebook and follow us on X.
23:48And you can hear more farming stories on Countrywide this Saturday morning on RTE Radio 1.
23:54.
24:12.
24:16You
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